Sir, can you see the image in 80QQB?
Who is this man?
His name is Mr.
Chetan Bhagat
He is a student of IIT and after that he studied in IIM
He was in investment banking profile that too in Hong Kong
After that, after doing job he writes books and his books
are so good that he has made super hit films of Bollywood
like 3 Idiots, 2 States
He had made a film called Hello
If you know his background you will be surprised
He comes from a very poor family and he didn't even have
money to eat food He comes from such a poor background and
he studied in a village
A village boy should go to IIT without any coaching or any
help It is such a big thing
Sir, it is said Don't be a root cause of your hard work and
hard practice
If you find something difficult, do it again and again
The thing that you are most afraid of, do it again and again
There was a time when I was also afraid of income tax
I used to study again and again and tried to understand
that if this is happening, then why is it happening?
What will be the objective of the government behind it?
Don't be a root cause of your hard work and hard practice
Keep this in mind, friends
No one can defeat a person who practices
A person once said
He was a boxer named Mike Tyson
He asked him, who are you afraid of?
The one who has practiced 1000 times
He said, no
The one who has practiced 1000 times of different punches
is not afraid of him
He is afraid of the one who has practiced 1000 times of
hitting a single punch
Because he knows that wherever I hit, the person in front
of me will get tired
That's why, keep practicing
The thing that you are most afraid of, do it again and again
Don't run away
Don't run away from any situation in life
Face it head on
There is no one above you
Have so much confidence that if I am there, then I am there
Let's go, sir
I have had a little dose
Let's go to the next section
ATQQB Sir, this section talks about that if there is a
writer
A person writes books
He has written some scientific books
He has written some artistic stories
He has written a novel
All these things that a person writes So, how does a writer
earn income?
For example, you are a writer
You have published a book
How did you publish it? First, you wrote it
You wrote and gave your content to some
Publisher Now, what will that publisher do?
He will get the book typed
He will get it designed
And later on, he will sell it in the market
How will your income be as a writer?
The book will be sold at whatever price
It will be sold at whatever price We will give you a
percentage of that
You can call it anything, you can call it copyright or
anything
The income of that percentage will be in the hands of the
publisher
It is taxable I wrote a book
I gave it to the publisher
He printed it and sold it in the market for Rs.
He said, it is a book worth Rs.
You will get Rs.
25 on every copy
Mr. Gupta
I said, okay Suppose, 1000 books are sold
What will be my income of Rs.
Friends, tell me one thing
A person is writing a story or writing a good content
What is he doing with that?
I believe, he is doing a good deed
He is serving the society
The people who don't know these things He is giving them
knowledge
Knowledge will bring development in the country If we start
taxing his income then he will get demotivated
First, I am increasing my knowledge
Then, I am writing that knowledge and supplying it to the
people
On top of that, I am giving tax
It is like doing a good deed and getting abused The
government said, you don't need to get abused
Mr. Gupta, you have done a good deed
You have written a book
We will give you a deduction
You can do whatever income you want You will get a deduction
How much will the deduction be?
The deduction will be a maximum of Rs.
3 lakh
Is the point clear?
For example,
If I sell books and get a percentage of that which is Rs.
10 lakh
Then, my deduction will be a maximum of Rs.
3 lakh
So, Rs.
7 lakh will be taxable I don't have to give anything till
Rs.
3 lakh
That will be my deduction
For example, this is his case
Mr. Gupta, as I was telling you He has written many famous
books 5.71, Two States, etc
Half Girlfriend
You must have seen his films
So, what does he get?
He gets money for that
He gets money for copyright
He gets royalty So, what does he have to do with the
royalty income?
To earn that income, he might have to spend some money So,
he gets net income
So, he gets net income
And the maximum is Rs.
3 lakh He will get a maximum of Rs.
3 lakh
This is the point
What if the income is Rs.
2.5 lakh?
What if the income is Rs.
2.5 lakh and the maximum is Rs.
3 lakh? Then, give him Rs.
2.5 lakh
Whatever it is, give him Rs.
3 lakh
It's a simple point
Shall we move ahead?
Is there any problem?
What kind of books should be there? Whether it is a
literary, artistic, or a scientific book
You are earning royalty on that
You have fees for copyright
But the government says that you won't get this deduction
It shall not be available in respect of royalty income from
textbooks for schools, guides, commentaries
You won't get that deduction for them
The deduction amount is Rs.
3 lakh Is the point clear?
Is there any problem?
Look at the conditions
What are the conditions?
Furnish a certificate For claiming the deduction
SSG will have to furnish a certificate Verify it
Take a certificate from the person who is paying you
royalty that I have taken money from you and which
recording I have taken and which recording
I have taken Take a certificate from that person
The second point Where SSG earns any income from any source
outside India
For example
Let's say I have become so famous The book I have written
has become so famous that I have started getting offers
from foreign countries
I have started getting offers from South Korea that Sir,
your book has become famous
You write it in the local language of South Korea
I said, I don't know the language of South Korea
You get a translator
I give him my book
He will translate it and sell it in the market of South
Korea and from there what will you give me?
Royalty Is the point clear?
Where is the book being sold? In South Korea
Where is the income coming from?
From South Korea Where is the income coming from?
How to treat that point?
We are talking about that
What is he saying?
Where the SSG earns any income from any source outside India
He should bring that income in convertible foreign exchange
within 6 months Within 6 months
Get that money from India
Then you will get a maximum deduction of 3 lakhs
You will get Whatever income you have earned or 3 lakhs
Whatever is less, you will get
Is the point clear?
Let's move ahead See See this example
He has got a royalty of 2,88,000 and he has spent 40,000
Rate of royalty is 18% of the value of the books
He deducted the net royalty 2,88,000 and he spent 40,000
2,88,000 2,88,000 Rate of royalty is 18% of the value of
the books 15% 15% He deducted 2,40,000 But what is the
maximum you will get?
You will get 3 lakhs
But what is his income in this case?
His income is 1,90,000
In this case, you will get 1,90,000 Is the point clear?
Is the point clear?
This is the concept of number of ones
Next point
Patents Just like you get royalty on books
This is the concept of patents
Patents What are patents? You have brought a new technology
To make any product
Technology is used For example, the spectacles I am wearing
I need a technology to make it The mic I am wearing
I need a technology to make it I need a method to make it
What all things, what all equipment will be required to use
I will make a formula
And I am afraid tomorrow a new product will come
A product will come that the car will not run on petrol or
on electronic
Your car will run on water
You put water in the car and keep driving
For example, a scientist has developed a technology
I have developed it today, I have developed the technology
right now
Now what am I afraid of?
What will be the first fear?
What if that technology, that patent is stolen from me?
So what will I do?
I will go to the government and get the patent registered
in my name
I will do this first
After that what will I do?
I will go to the car companies
And I will show them my patent
Look, this is a technology
If you use it, your car will run on water
Suppose the company likes it
What will the company do?
Okay Mr.
Gupta, do one thing
Take this one crore rupees, your patent And this patent is
ours from today
You keep this one crore rupees patent You sell this patent
to us
Don't even sell it
We will give you a percentage according to the number of
cars sold
We will fix a percentage
If a car worth 10 lakhs is sold
Then out of that, 1 lakh is yours
Now what I am getting
What am I receiving on patents?
I am receiving royalty on patents If the concept of patents
is still not clear
Then remember the 3 digits film
Ranjod, Das, Chanchad, Aamir Khan
What did he do in the end? Remember when we went to Ladakh
When he was standing there
He used to develop patents
He used to say that you have 300-400 patents on your name
He used different inventions and technology To make those
patents
How will new products be made?
He used to make patents
Do you remember anything?
Click this
If you get royalty on these patents Then what will be the
maximum deduction for that? 3 lakhs
Or whatever income you have earned, whichever is less
Maximum is 3 lakhs
If you go abroad and get patents used
And get royalty from that
Then the same concept
Within 6 months, receive the money
By the end of the year
See, it is the same
Any problem?
What are your conditions?
No problem?
Chetan Bhagat
That is his copyright
What is the other one?
Aamir Khan
What did he do?
He used to make patents and sell them
Or he used to take royalty on them
What will happen in that case? If he is taking royalty
Then we will give him a deduction of 3 lakhs
Maximum Let's go
Sir, tell me one thing
Sir, sir
Sir, tell me one thing
Sir, tell me
I said, ask me, what is the problem?
Tell me
He said, tell me one thing
I have a saving bank
A savings account In ICICI bank
And in that Approximately 50,000 rupees are there
And I got interest in the whole year
On that money On the money of the saving bank
Not on FD
On the money of the saving bank You get interest on that
Is that your income?
In a way, will that be considered as your income?
It will be your income 50,000 rupees are there
Suppose you get interest of 2,000 rupees Your balance will
be 52,000
And what will be considered as 2,000 rupees?
Income
Sir, will that be considered as your income?
What does the government do in this case?
If you have earned any interest from the saving bank
Then we will give you a deduction for that
What did I say?
They say, if you have earned interest from the saving bank
Then you will get a deduction on that income
And what will be the maximum deduction?
You will get 10,000 rupees
In that case, deduction
Sir, where should my savings accounts be?
It can be in a bank
It can be in a co-operative society
A co-operative society whose job is banking
There is a co-operative bank
If your savings account is there
If you get interest from there
Then you will get a deduction on that interest
Bank A co-operative society whose job is banking
Third, post office
The most common
You must have someone in your house
An old man
He must be saving money in the post office
You will get a deduction on that interest
Up to 10,000 rupees
If you get an interest up to 10,000 rupees
Nothing is taxable
You will get a deduction of 10,000 rupees
Show it in the income
And take the deduction
If it is 15,000 rupees, you will get a deduction of 10,000
rupees
You will get a taxable deduction of 5,000 rupees
If you go home today
Ask your parents
Dad, have you kept any balance in the post office?
If they say yes
Then ask them
Do you have a normal bank balance?
If they say yes
When you get an interest from there
You will get a deduction on that
Show it in your income
Maximum deduction is up to 10,000 rupees
If you get an interest 10,000 rupees
Whichever is less
If you get an interest of 2,000 rupees
How much deduction will you give?
Up to 2,000 rupees
If you get an interest of 11,000 rupees 10,000 rupees
There is no need to remember this
People say, whichever is less
Remember the maximum
We will give up to here
If it is less than this
We will give up to here
If it is more than this 10,000 rupees
Use common sense
Any problem?
Next section
This will be the last section of this chapter
T.T.B T.T.B means
Table Tennis Board
I am joking friends
T.T.B is nothing
It is just a name
T.T.B means
As this section talks
If there is a senior citizen
Who is it?
Senior citizen
You must be a grandfather
Grandfather Grandfather Senior citizens
They are above 60 years
And they have a savings account
In a bank
And from that savings account
They get money for interest
Or They have an FD account
And on that FD
They receive interest
So the government
Gives them leave
Sir, why do they give leave?
What is the reason for giving leave?
What is the objective of giving deduction?
He is a 60 years old person
Maybe he has retired
He invests some money in his FD
So that
At the time of retirement
Or when I become 60 years old
I get some money for a month
You will take tax on that too
Don't you have mercy for us?
Government says
Okay We have mercy
And Jethalal has mercy
And we have mercy
And ACP Pradeepan also has mercy
Mercy is mercy
You do one thing
We will give you a maximum
Deduction of Rs.
But there is an extra point
There is an interest on the savings account
But along with that
There is an interest on FD
Today go home
If someone is above 60 years
Ask them
Have you done FD in any bank?
They will say yes
Then ask them
Do you receive interest?
They will say
Yes Then ask them
Do you show it in your income?
They will say
Absolutely Then ask them
Do you take deduction on it?
They will say
We didn't know this
Then say
Our sir Gupta ji
Very smart, handsome, charming
Chartered accountant
He told us
Deduction of Rs.
You will get in that case
Read this section
Jai Shri Ram
A senior citizen
Senior citizen
Senior citizen means
Who is above 60 years
Whose gross total income includes
Income by way of interest on deposits
FD and savings account
Where? In a bank?
In a cooperative society?
Or in a post office?
Deduction of Rs.
They will give
Which should have been given by the government
But you are paying
So we give you a deduction for that and after deducting the
total income, you will be charged with Income Tax.
Friends, I hope you have understood this chapter.
Many interesting concepts have come here.
You used to get a loan on an electronic vehicle, so you
would get a deduction.
You used to get a loan on a house, so you would get a
deduction.
You used to contribute to a political party, so you would
get a deduction.
We covered all these things.
Health insurance, life insurance, tuition fees for
children, deduction for the Prime Minister's Relief Fund,
deduction for the rent you used to pay.
We covered all these things in this chapter.
I hope you have understood these points.
If you have not understood, then remember,
If you have done this chapter again, then watch the class
or read it quickly.
You will understand.
This is my hope.
Friends, we will meet again in the next lecture.
We will start something new.
Till then, thank you very much.